AFMEC’S MEET AT AGRA AIMING TO BOOST TRADE

 

Talking to Shoes & Accessories, Agra Footwear Manufacturers & Exporters Chamber’s President Puran Dawar said that subdued demand in global markets and the Chinese conundrum facing Indian policymakers is quite grave. Earlier, the budget proved to be a disappointment as it made no provisions for leather and footwear development in the region.

Falling demand for leather in the apparel and footwear industries of European and Chinese markets has pushed the growth rate of exports of Indian leather and footwear industry into negative India exported leather and footwear worth US$ 7 billion in the last fiscal year, which was 0.85 per cent lesser than the previous year. Indian exporters and manufacturers are irked with China’s constant lower price penetration in global markets. However, there are quite a few reasons why India should be thoughtful about taking severe steps on the trade front that may end up being counter productive for the Indian economy. The data on recent trade patterns show that the trade conflict between the US and China has actually helped India gain a larger footing in the Chinese market. Interestingly, exports to the US haven’t gone up much, exports to China have puffed over the past year. As the trade war deepens and China boosts its domestic consumption to rebalance its economy, this market would continue to be an important one for Indian producers.

Indian exports to China has grown in live animals and animal products, vegetable products, plastic and rubber. In sectors where such tariff walls have not been raised such as gems and jewellery and footwear, Indian exports either fell or grew at a relatively slower pace. Although India’s share in Chinese imports is rising.

Analyze the market and manufacture the products according to the customer needs. Vision of next three years has to be known and for this strategy and a roadmap has to be made. The industry should know which machinery to use, labor laws pertaining to the industry, which is the potential market, etc. These things will help the non-leather footwear industry to succeed and compete in the global market. Subsequent to the discussion was held wherein suggestions and inputs from the members present in the meeting were invited.

Following were the suggestions of the members:

1. Subash Jagga, M/s. Today Footwear Pvt. Ltd. conveyed that foremost the differentiation between leather and non-leather footwear has to be eliminated. There should be only a footwear industry. He requested the CIFI members to have meetings with CLE on a regular basis so that members can know where the industry is lacking and accordingly strategies can be made. He also urged that, FDDI should also focus on Non-Leather Footwear for holistic development of Footwear Industry.

2. Inder Chhabra, M/s. Alpine Polyrub Pvt. Ltd. suggested that we must focus on Garda and Canton Fair due the presence of prominent International Buyers. He also added that, we must focus on USA and African markets as these are the potential markets for non-leather footwear and can help in increase the share of footwear.

In his concluding remarks, Raj Kumar Gupta, President, CIFI conveyed the following:

• He requested members of CIFI to be a member of CLE also so that they can get all information related to government schemes and policies on time.
• He suggested that we can find good consultants from other countries who can study Non-Leather Footwear Sector and suggest what can be done to increase the share of non-leather footwear industry.
• He requested CLE to propose a cluster especially for Footwear under Mega Leather, Footwear and Accessories Cluster sub-scheme of IFLADP which is feasible to exporters/domestic producers in terms of connectivity and land rate.
• He requested CLE to propose the Government for refund of GST through automatic route.

Concluding the meeting, Chairman CLE invited CIFI members to join CLE so that they can get timely information on all Government Policies & Support Schemes for the industry. He conveyed to CIFI members that, Government is providing MAI grant to exporters, therefore CIFI members should aggressively participate in International Trade Fair. Further, he added that, for the promotion and holistic development of Leather, Footwear and Accessories sector, he has always raised his voice for the expansion of the industry through state-of-the-art cluster development and Foreign Investment.
He emphasized that CLE is committed to the development and growth of the Non-Leather Footwear Sector.
Meeting ended with a formal vote of thanks.

Visit to Parliament House

PR. Aqeel Ahmed, Chairman, CLE and Puran Dawar, Regional Chairman (North), CLE visited the Parliament House, New Delhi on July 19, 2019 to discuss about the issue pertaining to categorization of leather products and footwear under “White” category under pollution norms as against present classification of “Green” category. They also witnessed the afternoon session of Parliament on July 19, 2019.

Meeting with Rajkumar Chahar Hon’ble Member of Parliament from Fatehpur Sikri (Agra)

Mr. Rajkumar Chahar, Hon’ble Member of Parliament from Fatehpur Sikri (Agra) met PR Aqeel Ahmed, Chairman Council for leather exports and Puran Dawar NRC, Council for Leather Exports during their visit at Parliament House, New Delhi on 19th July, 2019.

*Chairman, CLE and Regional Chairman (North), CLE at the Parliament House*